Canada Housing/Debt: Trust me, I'm a landlord.

The Something Awful Forums > Discussion > Debate & Discussion > Canada Housing/Debt: Trust me, I'm a landlord.

unlimited shrimp: Aug 30, 2008

Rime posted:

Like I said, there's that quote (I think I expanded on it better in one a few months later) there's a sort of mental roadblock in North America where people simply do not (or refuse to) understand the concept of purchasing power relative to inflation. $30k is absolutely still viewed as being in "the good life" by people, especially those over the age of 40, despite being barely above (realistically) the poverty line for a single individual these days. I don't know if it's because minimum wage jobs account for such a huge percentage of income earners, or boomers just being fiscally retarded, or what.

In the GTA, I can't imagine raising two kids and giving them the kind of lifestyle experiences that will make them socially mobile (volunteering, sports, other extracurriculars), while simultaneously responsibly saving and investing, on a household income of less than $90,000/year. Renting or owning.

I imagine "middle class lifestyle" still works out to 2.5 kids with extracurriculars, a mortgaged house, and at least one vacation or road trip a year.

e.
My little sister is in competitive gymnastics and my parents are paying a couple grand a year on that alone, and it's her only extracurricular. Two cars for two working parents, early childcare, et cetera.

unlimited shrimp fucked around with this message at 01:07 on Jan 13, 2015

# ? Jan 13, 2015 01:02

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# ? May 26, 2024 12:49

Kraftwerk: Aug 13, 2011; i do not have 10,000 bircoins, please stop asking

The correct answer is don't have kids. Or have one kid.

# ? Jan 13, 2015 01:30

Lead out in cuffs: Sep 18, 2012; "That's right. We've evolved."

"I can see that. Cool mutations."

Kraftwerk posted:

The correct answer is don't have kids. Or have one kid.

Of course the further answer to that is that if the majority of your population can't actually afford to have kids, your country better have some serious immigration or you have a demographic time bomb on your hands.

# ? Jan 13, 2015 01:42

Saltin: Aug 20, 2003; Don't touch

Lead out in cuffs posted:

Of course the further answer to that is that if the majority of your population can't actually afford to have kids, your country better have some serious immigration or you have a demographic time bomb on your hands.

Why would anyone immigrate to a place where no one can afford to have kids?

# ? Jan 13, 2015 01:44

Kraftwerk: Aug 13, 2011; i do not have 10,000 bircoins, please stop asking

I think that the humans on this Earth have a moral responsibility not to reproduce for a while so the population declines to more sustainable levels. As population declines the demand for labour resurges and the value of that labour is higher since it's scarcer.

Even if you have a kid you have to consider the kind of world you're putting them into. They will be born into a place with increasingly scarcer job opportunities, education and social services.

# ? Jan 13, 2015 01:53

etalian: Mar 20, 2006

Also lolling how people in keeping with Johnson areas like GTA feel to need to pay for piles of extras for their kids like private school, expensive vacations, tutoring or costly after school extra-curricular activities.

# ? Jan 13, 2015 02:12

unlimited shrimp: Aug 30, 2008

Kraftwerk posted:

I think that the humans on this Earth have a moral responsibility not to reproduce for a while so the population declines to more sustainable levels. As population declines the demand for labour resurges and the value of that labour is higher since it's scarcer.

So who gets to decide who reproduces while we're waiting for the overall population to decline or stabilize?

etalian posted:

Also lolling how people in keeping with Johnson areas like GTA feel to need to pay for piles of extras for their kids like private school, expensive vacations, tutoring or costly after school extra-curricular activities.

Maybe not expensive vacations, but exclusive private school and costly extra-curriculars are extremely beneficial for your child if you can afford them. Nepotism is alive and well in 2015, and being able to say "I did X, Y, Z (crazy expensive things) while in school" on a job or professional school application is huge.

# ? Jan 13, 2015 02:39

Aagar: Mar 30, 2006; E/N Gestapo
I am talking to a mod right now about getting you probated/banned/gassed

Lead out in cuffs posted:

Of course the further answer to that is that if the majority of your population can't actually afford to have kids, your country better have some serious immigration or you have a demographic time bomb on your hands.

Like this kind of demographic time bomb?

http://www.statcan.gc.ca/pub/91-215-x/2014000/t512-eng.htm

There is pretty large gap between the Baby Echo (MIllenials, Generation Y, born ca. 1980-1995) and Generation Z (born ca. 1996-2010). Even very optimistic estimations of immigration of people in their early 20's won't fill those gaps when the time comes.

# ? Jan 13, 2015 02:59

Precambrian Video Games: Aug 19, 2002

Saltin posted:

Why would anyone immigrate to a place where no one can afford to have kids?

Because they already have kids and can't afford them where they live?

blah_blah posted:

Finance and tech jobs are examples of these. I've interviewed dozens of people for data science roles, many or most of whom had Ph.Ds and otherwise impressive resumes, and the vast majority of candidates fell well short of our hiring bar. Most STEM grads are woefully unequipped to do any sort of highly quantitative or technical job.

Any sort of quantitative or technical job? Jeez, generalize much?

I can believe that many STEM graduates are unequipped to do serious statistics, but they should be capable of learning it. Moreover, I can't really see what kind of graduates would become especially well-prepared to do proper statistics short of, well, statisticians.

# ? Jan 13, 2015 03:04

I would blow Dane Cook: Dec 26, 2008

unlimited shrimp posted:

So who gets to decide who reproduces while we're waiting for the overall population to decline or stabilize?

The Free market obviously :smuggo:

# ? Jan 13, 2015 03:07

etalian: Mar 20, 2006

Jumpingmanjim posted:

The Free market obviously

A rich penis

# ? Jan 13, 2015 03:41

ocrumsprug: Sep 23, 2010; by LITERALLY AN ADMIN

eXXon posted:

Any sort of quantitative or technical job? Jeez, generalize much?

I can believe that many STEM graduates are unequipped to do serious statistics, but they should be capable of learning it. Moreover, I can't really see what kind of graduates would become especially well-prepared to do proper statistics short of, well, statisticians.

There are a lot of awful STEM candidates, and the credentials bloat is getting pretty out of hand.

However the industry also sets itself up for a skills shortage by trying to hire 90th percentile people for everything. Your R&D department sure, but even the plumber positions have these qualification expectations.

# ? Jan 13, 2015 04:03

sbaldrick: Jul 19, 2006; Driven by Hate

eXXon posted:

I can believe that many STEM graduates are unequipped to do serious statistics, but they should be capable of learning it. Moreover, I can't really see what kind of graduates would become especially well-prepared to do proper statistics short of, well, statisticians.

Anyone could be trained to do that, a STEM degree isn't going to give you a leg up without the background knowledge.

# ? Jan 13, 2015 04:11

namaste friends: Sep 18, 2004; by Smythe

it's almost like there's an economic model for this

# ? Jan 13, 2015 04:33

JawKnee: Mar 24, 2007; You'll take the ride to leave this town along that yellow line

Saltin posted:

Why would anyone immigrate to a place where no one can afford to have kids?

propaganda

# ? Jan 13, 2015 04:38

blah_blah: Apr 15, 2006

eXXon posted:

Any sort of quantitative or technical job? Jeez, generalize much?

I can believe that many STEM graduates are unequipped to do serious statistics, but they should be capable of learning it. Moreover, I can't really see what kind of graduates would become especially well-prepared to do proper statistics short of, well, statisticians.

The word 'highly' is relevant.

And data science isn't just statistics, there's a ton of things that go into using data to make good decisions beyond knowing some statistical theory. Statisticians actually haven't fared very well in the interview processes that I've been a part of (physicists, for example, have done much better).

# ? Jan 13, 2015 05:59

etalian: Mar 20, 2006

lol

http://www.usatoday.com/story/money/columnist/bartiromo/2015/01/11/bartiromo-saudi-prince-alwaleed-oil-100-barrel/21484911/

quote:

Q: You said the price of oil will dampen the shale revolution in America. How?

A: Shale oil and shale gas, these are new products in the market. And we see big ranges. no one knows for sure what price is the breaking point for shale. Wells have a higher production cost. And very clearly these will run out of business, or at least not be economical. At $50, will it still be economically feasible? Unclear. This is a very much developing story.

Q: Some people believe this crash in oil will create a lot of new mergers in the energy industry. Do you agree?

A: No doubt about that. For sure there'll be a lot of consolidation in the market. Because many small and medium-sized companies can't afford this. Because they are very much dependent on the price of oil. Big companies like Exxon and Chevron are weathering the oil market crash because they are integrated vertically. But no doubt there'll be some mergers and acquisitions coming in one to two years.

# ? Jan 13, 2015 06:54

Terebus: Feb 17, 2007; Pillbug

JawKnee posted:

propaganda

There are plenty of worse places in the world much worse than Canada. I would never choose to go back to my country of birth because I could never see Canada being as bad as it.

# ? Jan 13, 2015 07:43

namaste friends: Sep 18, 2004; by Smythe

http://www.bcbusiness.ca/finance/what-will-happen-if-vancouvers-video-game-industry-loses-its-tax-credit

quote:

B.C.'s video-game industry, while not booming, is in a relatively stable position. That all could change if a critical tax credit disappears in next month�s budget

Like many in his field, Jamie Cheng, owner of Klei Entertainment�a small Gastown-based mobile gaming studio�views the local video-game sector as an ecosystem of stable, high-paying jobs. B.C.�s 67 video-game studios have an average lifespan of nine years, according to the Digital Media and Wireless Association of B.C. (DigiBC), while average annual salaries for the industry�s roughly 5,000 workers top $80,000. Institutions such as the Centre for Digital Media and the Vancouver Film School churn out graduates by the hundreds�many of whom go on to work for giants such as Electronic Arts (EA) or, like Cheng himself, found small studios of their own.

While the ecosystem is stable, it remains fragile�and heavily dependent on government support for its survival. B.C.�s Digital Media Tax Credit is one program credited for maintaining a vibrant local scene. The 17.5 per cent rebate on salaries of game designers and developers was introduced in 2010, and many say it has helped save thousands of jobs over the past five years in what has become a ruthlessly competitive global business. As Howard Donaldson, president of DigiBC, puts it: �It has stemmed the bleeding.�

The question of whether or not the five-year tax credit gets renewed in next month�s provincial budget is a hot topic amongst industry professionals, with many arguing that the future of the local gaming industry hangs in the balance. Beyond saving studios and helping to create some 1,700 new positions, DigiBC�s Donaldson says the tax credit has seen a good return on investment: by his estimate, the $100 million doled out by the province has delivered $135 million in additional corporate income taxes and indirect taxes to provincial coffers.
The problem, however, is that in recent years other provinces and states have also jumped on the tax-credit bandwagon, lessening B.C.�s competitive advantage. Quebec now offers an all-in credit of around 30 per cent, with breaks on contract labour (eligible salaries in B.C. have to be full-time). Ontario offers credits that range from 25 to 40 per cent on all labour. South of the border, Texas and Florida, both of which have low state income taxes, offer a 20 per cent break on all expenses, while Louisiana, which has a reputation for fat tax breaks for the film industry, offers a 35 per cent credit on labour and a 25 per cent credit on expenses.

EA is one company that�s become an expert at squeezing the most out of each locale it operates in. The company keeps a master chart at its California headquarters that lists average salaries, cost-per-head counts and tax-credit discounts for its projects in various jurisdictions. �It plays a bigger and bigger part in where we put projects,� says Jon Lutz, VP of planning and strategy at EA Canada, of the tax-credit game. Even with the tax credit, local graduates are still forced to look for jobs in other jurisdictions around the world. �We�ve become an exporter of talent,� says DigiBC�s Donaldson. He estimates that B.C. has lost 1,500 jobs to other jurisdictions in North America since 2009, counting hundreds of B.C.-educated developers and designers in Washington, California and Florida alone.

This new world order�what�s derisively called �the race to the bottom� by critics, with competing jurisdictions undercutting each other with ever-richer credits and incentives�is a far cry from the 1990s, when Vancouver carried the banner as Canada�s video-game capital. At that time, EA Canada was the world leader in the development and marketing of sports games, producing its record-selling FIFA, NBA and NFL franchises from its Burnaby campus. At its peak, EA Canada employed 1,700, with the company carving the path for a slew of gaming upstarts.
�When we entered the industry in 2004, projects were lucrative and we had great margins,� says Brenda Bailey Gershkovitch, founder of Silicon Sisters, a local studio that builds video games marketed toward women. But four years later, all that changed, says Gershkovitch. The recession hit, and the film, animation and gaming industries�each dependent on discretionary spending�took a particularly big blow. Smaller studios shut down, and EA sold off real estate and laid off hundreds of workers. The shifting fortunes prompted Howard Donaldson, then an executive at Disney-Club Penguin, to rally other leaders in the gaming space to create BC Interactive, the predecessor to DigiBC. �I found it odd that the government wasn�t doing anything,� says Donaldson, �so I started to investigate why we were being unsuccessful.�

Jamie Cheng says that government assistance, including the Digital Media Tax Credit, has helped Klei get off what he calls the �royalty treadmill.� Instead of pouring all the royalties he sees from game sales into Klei�s operations, Cheng can now�thanks to the tax credit�invest more in product development. �The incentive to reinvest in yourself is a huge boost,� says Cheng. �The tax credit allowed us to take a risk.� And that risk is paying off: today Klei�s 40-person team pumps out multiple PC titles, which combined have sold over one million copies.

While the Digital Media Tax Credit has been criticized both for its cost and the fact that rich multinationals, such as Electronic Arts, are huge beneficiaries, most in the industry seem to be of the opinion that the program, on balance, has been a lifesaver�creating both jobs for the present and a sustainable industry for the future.

�We�re not going to need tax credits forever,� says EA�s Lutz. �But I think this is something we need now to ensure that we don�t lose what we�ve got.�

Solution: offer a 150% tax credit. Get in at ground floor and pay game companies a bonus to not move and hire unpaid interns. gently caress you Quebec!

# ? Jan 13, 2015 08:18

JawKnee: Mar 24, 2007; You'll take the ride to leave this town along that yellow line

Terebus posted:

There are plenty of worse places in the world much worse than Canada. I would never choose to go back to my country of birth because I could never see Canada being as bad as it.

it was tongue in cheek, but I'm not from here either, nor am I from a particularly great country.

I was thinking along the lines of 'paris of the prairies' type stuff

# ? Jan 13, 2015 08:22

Mederlock: Jun 23, 2012; You won't recognize Canada when I'm through with it; Grimey Drawer

JawKnee posted:

it was tongue in cheek, but I'm not from here either, nor am I from a particularly great country.

I was thinking along the lines of 'paris of the prairies' type stuff

could it be... that you're a tragically hip fan?

Anyways serious talk, peep dis
http://m.theglobeandmail.com/news/national/murky-future-for-fort-mcmurray-as-oil-prices-fall/article22422885/?service=mobile

GBM posted:

Debbie March calls it, affectionately, Fort McMurray’s Newfie restaurant – Ms. B’s, popular among the Newfoundland and Labrador diaspora who came to Alberta for work as the oil sands boomed. She is one of them, and the manager.

Lately, things have not quite been the same here as the price of oil has continued to slide. Ms. B’s is among many local businesses where sales have fallen off.

“It’s like the place has gone dead,” Ms. March says of Fort McMurray. At the downtown restaurant, she is sending servers home early, amid empty tables. “…The past couple of weeks, I’ve never seen it this bad here at the restaurant.”

The falling oil price triggered layoffs last week at Shell, and on Monday, cuts in forecast capital spending and production growth at another oil producer, Canadian Natural Resources Ltd. (CNRL). ‎Local retailers report slumping sales, charter plane traffic is down, and last month, two residential work camps closed. The price drop was on the agenda as the Chamber of Commerce board met late Monday, a day the price of oil plunged another 5 per cent.

However, business and labour leaders are preaching caution, saying Fort McMurray has been through dips before – and that it is too soon to know what the impact of sub-$50 oil will be.

SPONSOR CONTENT It’s time to stop this global waste of precious energy

Stores across Fort McMurray say they have noticed a slide. At Mark’s Work Wearhouse, sales of heavy-duty boots and other gear have fallen off since about October, manager Derek Estabrooks says. “There’s no new hires, that’s our biggest problem,” he said. “…Our business thrives on that.”

There have been early indications of cutbacks and cancelled projects in the oil sands, but the impact here is expected to be two-tiered – temporary construction, contracting and fly-in jobs affected first, as opposed to salaried jobs based in Fort McMurray. Many here see contractor and construction cuts as a bellwether, but the picture is murky. Layoffs over the holidays are routine in construction jobs, with call-backs in January. In weighing the impact of $50 oil, Fort McMurray is still waiting to see if those construction workers, and hospitality and other staff that support them, come back this month.

“It’s bad timing, because we don’t know if it’s oil [prices] or Christmas layoff. We do have a number of job orders on the board to send people back to work,” said Ian Robb, president of Unite Here Local 47, a union representing food and hospitality workers at work camps around Fort McMurray. He is not panicking. “I have confidence the industry will pick up again. We look at it this way – yep, another hiccup in the Fort McMurray drama.”

Last week, word spread of about 200 layoffs at Shell’s Albian Sands mine, one of the major producers. The move affected less than 10 per cent of the Albian work force, and the company remains on solid footing, even with the price of oil at about $50. Canadian synthetic crude production costs about $38 per barrel, according to its 2013 annual report.

However, some saw the Shell move as significant because it went beyond contractor and construction jobs.

“That’s kind of spread the rumours around there could be more layoffs,” says Ken Smith, president of Unifor Local 707-A, representing workers at another major mine, Suncor, which has not announced layoffs. “…It’s been a long time since we’ve seen layoffs at the major plants, like Shell.”

On Monday, CNRL – citing commodity prices – trimmed its projected capital spending this year to $6.2-billion, down from $8.6-billion. The company said its oil production is still set to increase seven per cent this year, although it had originally estimated 11 per cent growth.

The Bank of Canada’s latest business outlook survey, published on Monday, found the outlook for companies “linked directly or indirectly to the energy sector has deteriorated,” and that firms in the Prairies or linked to energy now “anticipate a moderation in the pace of sales growth in the wake of falling oil prices.”

Businesses are looking for ways to be more efficient, but say the current drop feels like the price decline of 2008, Chamber president Nick Sanders said in an interview after Monday’s meeting.

“They’re feeling it’s very similar [to 2008], they’re thinking maybe it could potentially hang around a little bit longer,” he said. Some businesses have noticed people are buying “needs, not wants,” he said, but Christmas sales were solid and businesses are hesitant to scale back or lay off in case the price rebounds. “It’s about becoming more effective, right-sizing [a company] and making sure you still have the right skill-set sitting around the table when things turn around,” he said.

Other early signs hint at stagnation rather than decline. The Fort McMurray airport had a banner year last year and traffic has surged. The latest figures, however, show November traffic was flat compared to November, 2013, while the number of people travelling on charter flights, often hired by major companies, dropped 23 per cent from the previous November. Charter flight traffic at Fort McMurray’s airport has dropped, from the previous year, in four of the past six months.

The municipality has used utility consumption in the past to figure out how many people live in Fort McMurray, including the “shadow population” of short-term workers. The municipality was unable to provide recent water-use figures. One power provider, Direct Energy, says consumption last month in Fort McMurray was down 13 per cent from December, 2013, but stressed weather was a major factor and commercial power use is relatively unchanged. The Alberta Electric System Operator said average power demand in Fort McMurray for November, the most recent data available, was up 10.6 per cent from the previous November.

There have also been closings – two camps for workers owned by Civeo Corp., which said the move came amid cuts in oil companies’ capital spending. Mr. Robb of the union representing hospitality workers said it was more related to failed lease negotiations and one of the two lodges being outdated. “The price of oil really didn’t affect those two closures,” Mr. Robb argued. “…Everybody will be doing this blame game, [saying] ‘it’s all on the price of oil.’ Some will be.”

Nonetheless, many say things seem slower this month. On Franklin Avenue, Fort McMurray’s main drag downtown, entrepreneur Pius Poitras owns Chow’s Varieties, selling lottery tickets, fishing and hunting supplies and other goods. He noticed business drop, in particular at his second location in a more residential part of town.

“It’s hard to pinpoint exactly what it is, but sales overall are down,” he said. That’s a problem in a community where the boom has sent wages and lease rates soaring, a challenge for business owners. He hopes one day to sell and retire with his wife, but keeps an eye on the oil price. “I watch it every day,” he said. “More for curiosity than anything else.”

# ? Jan 13, 2015 15:40

Lexicon: Jul 29, 2003; I had a beer with Stephen Harper once and now I like him.

I imagine there are lots of real estate financial geniuses in the Ft McMurray area who may well be about to learn a hard lesson about how leverage magnifies the other direction also.

# ? Jan 13, 2015 15:58

namaste friends: Sep 18, 2004; by Smythe

Wow you think they read Mian and Sufi as well?

# ? Jan 13, 2015 16:11

namaste friends: Sep 18, 2004; by Smythe

Gentlemen, I bring you today's feel good story of the day:

http://www.thestar.com/news/canada/2015/01/13/alberta_likely_to_face_recession_this_year.html?utm_medium=twitter&utm_source=twitterfeed

quote:

CALGARY�The Conference Board of Canada says Alberta will likely face a recession this year due to the plunging price of oil.
The economic think tank says Alberta�s latest employment and new housing start numbers are holding steady, but if oil prices stay low the province will slip into recession.
Chief economist Glen Hodgson says even if oil prices rebound to $65 per barrel, he forecasts that investment, profits and consumer spending will be down.
�It�s going to be very hard for Alberta to avoid a recession this year,� Hodgson said Monday.
�Even if the oil prices bounce back to say $65, that�s going to take a lot of steam out of investment, profitability and also consumption in the province of Alberta.�
Calgary-based Canadian Natural Resources Limited announced Monday that it will spend $2.4 billion less than expected this year.
Other major producers such as Cenovus and Husky Energy have also recently announced reduced capital budgets.
Energy sector experts say they will have a better indication of how low prices will affect the industry by the beginning of the next drilling season in late summer.

# ? Jan 13, 2015 16:17

namaste friends: Sep 18, 2004; by Smythe

# ? Jan 13, 2015 16:19

ZenVulgarity: Oct 9, 2012; I made the hat by transforming my zen

peter banana posted:

then you'd be unemployed for 4 months like my husband! There's a glut of STEM workers right now. People are trying to pay them peanuts, that why there's a "skills gap."

This may be the "bad with money" thread talking but IMO anything that isn't a second hand vehicle you drive into the ground is dick waving and a made-fun-of avoidance scheme.

How second hand

I'm super glad my girlfriend is employed after reading this thread holy hell

# ? Jan 13, 2015 16:21

Gorau: Apr 28, 2008

Cultural Imperial posted:

Gentlemen, I bring you today's feel good story of the day:

http://www.thestar.com/news/canada/2015/01/13/alberta_likely_to_face_recession_this_year.html?utm_medium=twitter&utm_source=twitterfeed

I'll still take it over BCs economy! (Especially Vancouver)

# ? Jan 13, 2015 16:34

namaste friends: Sep 18, 2004; by Smythe

No one here has ever claimed Vancouver is better than Calgary.

I for one just relish in seeing Calgary fail and hard.

# ? Jan 13, 2015 16:48

triplexpac: Mar 24, 2007; Suck it
Two tears in a bucket
And then another thing
I'm not the one they'll try their luck with
Hit hard like brass knuckles
See your face through the turnbuckle dude
I got no love for you

I didn't see it in the thread, has anyone posted about how Germany's Deutsche Bank claimed Canadian houses are overvalued by 63 per cent ?

# ? Jan 13, 2015 17:23

Lain Iwakura: Aug 5, 2004; The body exists only to verify one's own existence.; Taco Defender

I just cannot wait for the dimwits who told me personally that Alberta was carrying the weight of the country and deserves special treatment to tell me that they were wrong. Oh. Do I ever dream.

# ? Jan 13, 2015 17:26

namaste friends: Sep 18, 2004; by Smythe

triplexpac posted:

I didn't see it in the thread, has anyone posted about how Germany's Deutsche Bank claimed Canadian houses are overvalued by 63 per cent ?

Yeah. DB has been super bearish on Canadian re though.

# ? Jan 13, 2015 17:30

melon cat: Jan 21, 2010; Nap Ghost

Cultural Imperial posted:

https://twitter.com/LJKawa/status/554662170576060416

This is a pretty big deal. I mean, this is the BoC saying there's a problem here.

And the worst part is that the BoC has no wiggle room to cut interest rates to promote Canadian spending. I recall that we discussed exactly this a few months ago, well before the price of oil nose-dived. Instead of "pumping the brakes" by periodically hiking rates, they just cut them, cut them, then cut them some more. And now they've painted themselves into a corner, so they have no options to provide relief to Canadian households.

# ? Jan 13, 2015 18:30

Coylter: Aug 3, 2009

melon cat posted:

And the worst part is that the BoC has no wiggle room to cut interest rates to promote Canadian spending. I recall that we discussed exactly this a few months ago, well before the price of oil nose-dived. Instead of "pumping the brakes" by periodically hiking rates, they just cut them, cut them, then cut them some more. And now they've painted themselves into a corner, so they have no options to provide relief to Canadian households.

Negative interest rates.

# ? Jan 13, 2015 18:40

Precambrian Video Games: Aug 19, 2002

melon cat posted:

And the worst part is that the BoC has no wiggle room to cut interest rates to promote Canadian spending.

Hmm? There's still another 1% that could be cut, and then why not go negative if you can? efu Coylter.

# ? Jan 13, 2015 18:40

namaste friends: Sep 18, 2004; by Smythe

melon cat posted:

And the worst part is that the BoC has no wiggle room to cut interest rates to promote Canadian spending. I recall that we discussed exactly this a few months ago, well before the price of oil nose-dived. Instead of "pumping the brakes" by periodically hiking rates, they just cut them, cut them, then cut them some more. And now they've painted themselves into a corner, so they have no options to provide relief to Canadian households.

Canadian economy tweets are afire over speculation that the BoC is going to cut rates soon.

# ? Jan 13, 2015 18:44

ocrumsprug: Sep 23, 2010; by LITERALLY AN ADMIN

Cultural Imperial posted:

Canadian economy tweets are afire over speculation that the BoC is going to cut rates soon.

Wow, Canada really doesn't want to take it's medicine.

I'm sure that it will be fine if we just push it down the road a little bit more.

# ? Jan 13, 2015 18:45

LemonDrizzle: Mar 28, 2012; neoliberal shithead

melon cat posted:

And the worst part is that the BoC has no wiggle room to cut interest rates to promote Canadian spending. I recall that we discussed exactly this a few months ago, well before the price of oil nose-dived. Instead of "pumping the brakes" by periodically hiking rates, they just cut them, cut them, then cut them some more. And now they've painted themselves into a corner, so they have no options to provide relief to Canadian households.

Central banks can do QE at will, and if the government wants direct stimulus it could just take a leaf out of dubya's playbook and cut everyone in the country a check.

# ? Jan 13, 2015 18:47

Coylter: Aug 3, 2009

ocrumsprug posted:

Wow, Canada really doesn't want to take it's medicine.

I'm sure that it will be fine if we just push it down the road a little bit more.

Not before the elections silly you.

# ? Jan 13, 2015 18:47

jet sanchEz: Oct 24, 2001; Lousy Manipulative Dog

Mississauga issued $1.1 billion worth of building permits in 2014

http://www.mississauga.ca/portal/ci...309305F36159BF2

The City of Mississauga issued building permits for more than $1.1 billion in construction in 2014. Total permits issued by City staff increased by more than 15 per cent to almost 3,800 in 2014 from about 3,300 in 2013, an average year. The City also issued an additional $400 million in conditional permits to help get construction underway.

# ? Jan 13, 2015 19:07

Adbot: ADBOT LOVES YOU

# ? May 26, 2024 12:49

Lain Iwakura: Aug 5, 2004; The body exists only to verify one's own existence.; Taco Defender

The rate cut could happen as soon as the Duffy trial begins.

# ? Jan 13, 2015 19:09

The Something Awful Forums > Discussion > Debate & Discussion > Canada Housing/Debt: Trust me, I'm a landlord.

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